The company offers internet retailers a fraud detection system on a per-transaction basis. No Fraud’s co-founders claim the system is so effective, they are able to reduce fraud from an industry average of 2% of orders to just 0.1%. They hope to introduce industry-disrupting integration and pricing models to boost merchants’ bottom lines.
With the proliferation of online shopping, retailers are more exposed than ever to card-not-present fraud. According to a 2013 report by CyberSource Co., eCommerce merchants in the U.S. saw $3.5 billion in losses to fraud. While the rate of fraud was only 0.6% across all industries in 2013, fraud concentrates in high-risk industries, such as electronics. No Fraud’s system uses virtually every fraud detection technology available, from IP geolocation to social media data mining, to cross-reference transactions in real time.
“When I started looking for help to manage fraud at my own electronics business, I found the options on the market were either too expensive, too complicated to set up, or were basically insurance,” said Co-founder and Fraud Specialist, Shaya Posner. “So, I just did it in-house. What our team came up with was so effective that we wanted to make it available to the public.”
“The goal was to cut through the nonsense in fraud prevention,” said Isaac Gurary, co-founder. “Every company is different, but fraudsters typically have a behavioral pattern. We created a product that is tailored to fraudsters rather than companies. That way business owners can set up No Fraud in 10 minutes and know that they are protected. They don’t need to spend time tweaking rules, or monitoring the system to make sure they’re not losing real customers, or checking questionable transactions. They can just get back to work.”
No Fraud includes a feature called Live Cardholder Verification. If a transaction is considered potentially fraudulent, No fraud’s team will contact the cardholder directly to verify a purchase. The decision making process is then automated. The result is that No Fraud is able to accept transactions that might have been declined due to minor discrepancies, such as typos. Posner claims this industry-first feature will virtually eliminate declines of legitimate orders, a major hurdle in the fraud-prevention field.
No Fraud (nofraud.com), based in Brooklyn, NY, provides e-commerce merchants with the #1 most effective eCommerce credit card fraud protection, virtually eliminating card-not-present fraud, false positives, and chargebacks after ten minutes of set up. See an immediate impact on your bottom line, without manual review or training. No Fraud is the price-performance leader, with no quotas, lengthy contracts, or start up fees. No Fraud’s team of industry experts constantly updates the system using the latest technology to meet emerging threats. It is the only commercially available service that contacts cardholders directly to verify purchases, ensuring you don’t deny legitimate customers ever.